Sweden has moved quickly toward a cashless economy. That means every digital touchpoint for Swedish businesses—including checkout—has to meet rising customer expectations for speed, clarity, and trust. Below, we’ll explain how online payments work in Sweden, what methods customers actually use, and what to look for in a payment solution that will empower your business.

What’s in this article?

• How do online payments work in Sweden?
  
• Why is a simple payment experience important for your business?
  
• What are the most popular online payment methods in Sweden?
  
• How do you choose the right online payment solution for your business?
  
• Can you combine in-store and online payments in one system?
  

How do online payments work in Sweden?

Online payments in Sweden work the same way they do elsewhere: a customer makes a purchase through a website or app, enters their payment details, and the transaction is routed to the banking network. The main difference is that Sweden is almost entirely cashless. So while the mechanics of digital payments are familiar, customer expectations are likely higher.

To accept online payments in Sweden, businesses can use a payment service provider (PSP), which securely processes transactions and transfers funds from the customer to the business. The PSP is responsible for:

• Accepting local and global payment methods

• Connecting a business’s website or app to a payment processing system

• Routing funds to a business’s bank account

• Managing disputes, refunds, and settlement timing

PSPs allow businesses to accept payment without needing to build their own infrastructure and navigate compliance, security, and bank integrations.

Businesses in Sweden that accept online payments also typically need to meet Strong Customer Authentication (SCA) requirements, comply with EU regulations, and handle multiple currencies. Here’s a closer look at online payments in Sweden.

Digital-native customer behavior

Whether they’re buying something in person or online, Swedish customers mostly pay with digital methods. Online, cards, and mobile payment apps dominate.

Widespread use of BankID

BankID is the main digital ID in Sweden, used by 8.6 million Swedes in 2024. It’s how people log in to banking apps and approve payments, and businesses use it to meet SCA requirements—mandated by the EU’s revised Payment Services Directive (PSD2) regulations.

PSD2 requirements

Because Sweden falls under the EU’s PSD2 framework, online payments often require two-factor authentication in line with SCA requirements. That might mean verifying a one-time passcode, confirming through a banking app, or using biometric ID on a phone. A good payment solution handles this automatically without making it feel like a hurdle to customers.

Currency considerations

Domestic transactions use the Swedish krona (SEK). But many businesses also sell across Europe or globally, which means they need to present prices in local currencies, handle conversion rates, and prepare for multicurrency payouts. A capable payments platform should manage this easily, so that the customer sees a price in their currency and the business receives its preferred currency in its account.

Why is a simple payment experience important for your business?

What happens in the first few seconds of your checkout process can make the difference between closing or losing a sale. Every extra step or delay can increase the odds that a customer will abandon their cart. Cart abandonment rates top 70%, and much of that drop-off happens at the payment stage. Swedish shoppers are likely used to fast online checkouts. If your process feels outdated or clunky, your customers might lose patience and leave.

Getting the checkout process right involves multiple factors. If you don’t offer local payment methods that your customers already use, they might abandon their cart. If your customer verification step confuses users or adds friction, that can also decrease conversions.

A simple payment experience:

• Converts more browsers into buyers

• Builds confidence with returning customers

• Reduces drop-off and failed payments

• Signals professionalism at a key moment in the shopping process

What are the most popular online payment methods in Sweden?

Sweden is one of the most digitally mature payment markets in the world. Accepting the electronic payment methods popular among Swedes can help prevent abandoned carts.

Here are the common payment methods that Swedish customers use and what your business needs to support.

Debit and credit cards

Card payments are still the foundation of online commerce in Sweden. In 2023, 47% of Swedes reported using debit cards for ecommerce purchases in the previous 30 days, and 21% said they used credit cards. Mastercard is the most common card scheme, followed by Visa. American Express has less uptake, but it’s still used occasionally.

To meet expectations, your checkout should support all major card networks.

Swish

The Swedish mobile payment app Swish is a must-have for online payments. Swish facilitates instant transfers between bank accounts, verified with BankID. In 2023, 43% of people reported using Swish for ecommerce payments in the previous 30 days, and it’s widely used by businesses across ecommerce, events, and services.

Buy now, pay later (BNPL)

Sweden was an early adopter of BNPL options. And Klarna, one of the world’s biggest providers, originated in Sweden. BNPL is popular because it allows customers to split payments and offers more flexibility than other methods. In 2023, 38% of people reported using BNPL for ecommerce payments in the previous 30 days. It’s especially common in fashion, retail, and consumer electronics. Including BNPL options at checkout can help increase conversion and basket size by providing a flexible payment option.

Digital wallets

The use of digital wallets is growing: 11% of people reported using digital wallets for ecommerce payments in 2023 in the previous 30 days. Apple Pay, Google Pay, and Samsung Pay are widely supported in Sweden.

Direct bank transfers

Traditional bank transfers remain a popular choice for online B2B purchases. Bankgirot is commonly used for invoice payments, and Autogiro is commonly used for recurring payments. Offering bank transfer options can be especially helpful in sectors such as professional services or wholesale.

How do you choose the right online payment solution for your business?

Choosing a payment provider directly affects your revenue, operations, and customer experience. In Sweden’s fast-moving payment environment, the right solution should support how people actually pay, readily address issues of local compliance, and scale with your business.

Here’s what to pay attention to.

Support for local payment methods

If your provider doesn’t support Swish, Klarna, or direct bank transfers, you could lose potential sales and customers.

Alongside global card schemes and digital wallets, your provider should support:

• Swish

• Bankgirot and Autogiro

• Klarna or other BNPL options

Ease of integration and customization

Whether or not you’re a developer, setup should be straightforward:

• Can you drop in a secure, mobile-ready checkout with minimal code?

• Can your team customize the design to match your brand?

• If you’re building a custom flow, are the application programming interfaces (APIs) clear and well-documented?

A good platform gives you options: low code if you want speed, full control if you need flexibility.

Built-in support for compliance and security

You shouldn’t have to second-guess whether your payments meet regulations. Your provider should offer:

• Prebuilt solutions for SCA, including BankID verification

• 3D Secure authentication

• Level 1 PCI service provider status

• Fraud detection and prevention tools

Transparent pricing that scales with you

Look beyond the base transaction fee:

• Are there added costs for Swish, Klarna, or international cards?

• Do you pay extra for refunds or chargebacks?

• Is there a monthly minimum or flat-rate pricing that doesn’t fit your volume?

The lowest rate doesn’t always equal the best value. Make sure you understand what you’re paying for, and which features are the most important for your business.

Cross-border capabilities

If you sell outside of Sweden, or plan to, you’ll need:

• Multicurrency support and automatic conversion

• Localized checkout in multiple languages

• The ability to accept international cards

Make sure your provider can adapt without extra development work when you expand your business.

Visibility, reporting, and control

As your business grows, so does the need for better insights. You should be able to:

• See payment status in real time

• Easily issue refunds or manage disputes

• Export data for accounting or analysis

• Understand what’s working and where customers are dropping off

A confusing backend will cost your team time they could be using for other work. And if support is slow when something breaks, you’ll feel it immediately.

Your payment experience should work as easily behind the scenes as it does for your customers. Stripe, for example, supports more than 100 payment methods through a single integration, and it uses AI to detect and block high-risk payments before they go through.

Can you combine in-store and online payments in one system?

It is possible to combine both in-store and online payment channels into one system. And if you’re selling across both channels, it’s a smart move to implement a system that can support the two.

Traditionally, in-store and online payments ran on separate systems: one setup for a website, another for card terminals. But that division can result in fragmented reporting, duplicate customer records, and manual reconciliation. It also can make it harder to offer a consistent experience across channels.

Stripe makes it possible to run everything—online, in-person, and mobile channels—from a single system. Here’s what that can do for your business.

One unified view of transactions

Unified systems let you see all transactions in one place. Whether a customer paid online last week or in your shop this morning, the sale shows up in the same dashboard. That means cleaner reporting, simpler accounting, and fewer end-of-month surprises.

Consistent data across channels

Unified systems mean unified customer profiles, shared product catalogs, and centralized analytics. This consistency can let you track behavior and performance more effectively.

Better customer experience

Customers expect flexibility. They might browse online, buy in the store, or return something through either channel. If your payments are siloed, those interactions can become inconvenient. Unified systems make it easier to offer options such as:

• Buy online, pick up in store

• In-store returns for online orders

• Gift cards or credit that are usable across both channels

Less work for your team

With a unified setup, your staff only needs to learn one system. Your developers don’t have to maintain separate integrations. And your finance team doesn’t have to stitch together reports from multiple platforms.

Help with compliance

In Sweden, in-store payments require a certified cash register system that meets the Swedish Tax Agency’s standards. Using a point-of-sale (POS) system that connects your register’s reporting to your payments platform can help automate reconciliation.

Bringing your online and in-store payments into one system means better data, easier operations, and a customer experience that feels consistent no matter where the sale happens.